Mr. Mark McLeary reports

GOLDEN SUN PROVIDES UPDATE AND CLARIFICATION ON PRODUCTION AT CHERRY HILL

As a result of a review by the British Columbia Securities Commission (BCSC), Golden Sun Mining Corp. has been made aware that the BCSC staff is disputing that the company was ever in commercial production within the normal industry meaning of this term.

The company wishes to clarify previous disclosure made in its Oct. 27, 2011, news release and on its website regarding commercial production commencing at its Cherry Hill gold mine. The company used Natural Resources Canada's (NRCan) test for its interpretation of commercial production that states that the date of commencement of production in reasonable commercial quantities is "the first day of a period of 90 consecutive days during which the mill that serves the mine should have produced at 60%, or above, its designed capacity." Further, NRCan states the test "is a rule of thumb and must be applied with discretion; if the mine does not have a dedicated mill." Continuous production at a level that was consistent with the rated capacity of the mine allowed the company to extract over 2,000 tonnes during a four-month period.

In its news release dated May 3, 2012, the company announced it anticipated the commencement of production. The company's disclosure in its management's discussion and analysis and on its website disclosed that the company was not in production at that time. Although consistent production levels were reached by the mining staff at Cherry Hill, which prompted its original disclosure, these consistent production levels were not maintained.

The company did not reach its projected production goals, as announced in news releases dated May 3, 2012, and Oct. 3, 2012, due to a lack of financing and recovery problems at the contract mill.

The company reiterates that mining at Cherry Hill has yet to restart as the company is reconsidering its milling options. The company is currently not in commercial production.

We seek Safe Harbor.